# OECD Capital Intensity Mediation: Z -> Investment/GDP -> CA

| Variable | OECD Step 1: Z->K | OECD Step 2: Z->CA | OECD Step 3: Z+K->CA |
|:---|---:|---:|---:|
| Z_1 | 39.0009* | -42.0088 | 16.6352 |
| | (22.9857) | (27.0534) | (22.5955) |
| Z_2 | -3.3533 | 4.7752 | -1.8633 |
| | (3.1346) | (3.6888) | (3.0855) |
| Z_3 | 0.0689 | -0.1508 | 0.0592 |
| | (0.1191) | (0.1401) | (0.1178) |
| fiscal_bal_gdp | 0.2411*** | 0.0458 | 0.2452*** |
| | (0.0285) | (0.0346) | (0.0237) |
| nfa_gdp_lag | 0.9140*** | -0.4745 | -0.0604 |
| | (0.2517) | (0.3042) | (0.2084) |
| rgdp_growth | 0.2396*** | -0.1665*** | 0.0556*** |
| | (0.0196) | (0.0238) | (0.0166) |
| log_rel_opw | 2.8030*** | 2.5394** | 5.2547*** |
| | (0.9710) | (1.1319) | (1.0449) |
| kaopen | -0.5531*** | 0.5568*** | 0.1558 |
| | (0.1729) | (0.2075) | (0.1497) |
| capital_intensity | | | -0.9112*** |
| | | | (0.0240) |
|:---|---:|---:|---:|
| N | 1153 | 1153 | 1153 |
| R² | 0.2736 | 0.1712 | 0.0830 |
| Countries | 37 | 37 | 37 |

*Panel GLS with country and year fixed effects. Standard errors in parentheses.*
*\*p<0.1, \*\*p<0.05, \*\*\*p<0.01*